How do organizations use labor mobility in their quest for status and reputation? In this study, we show that high status organizations facilitate the movements of their people to build their status, but retain their key people to protect their reputation. Low status organization, in contrast, allow their key people to move to the high status firms in order to build their status position in the market
Organizational status identities and the mobility of football players in Europe
1. Organizational status identities
and the mobility of football
players in Europe
Thijs Velema
National Taiwan University, Department of Sociology
Institute of Sociology, Academia Sinica
2. Impact of Luis Suarez transfer on Ajax
â˘Ajax loses key player
â˘Other players are willing
to move to Ajax
3. Organizations use labor mobility to attain
status and reputation
Reputation
Status
Labor
mobility
4. High and low status organizations make
different use of labor mobility
High
Middle
Low
A
High status organization A
⢠Maintain status without harming reputation
⢠Marginal players move, key players are
retained
Low status organization B
⢠Improve status to improve reputation
⢠Key players move, marginal players are
retained
B
5. EH analysis of player transfers
Variable Direction Horizontal Downward International
Team
status
.9038*** .8481*** .3629***
Player
importance
-.0354* -.5907*** -.3556***
Team
status *
player
importance
-.2173*** -.2026*** -.2430***
6. To summarize: Who moves?
â˘Players in high status teams
â˘Fringe players
â˘Team status * player importance
â˘Fringe players in high status teams
â˘Key players in low status teams
7. Further questions
â˘What kind of labor market?
â˘Consequences for football
â˘Other actors
â˘Player agents?
â˘Other industries
8. Thank you for your attention!!
Questions?
www.thijsvelema.com
Attribution for pictures
Edgar Davids (Juventus F.C., no.26) clashing with Gennaro Gattuso (A.C.
Milan), by soccer illustrated
Argentina-Holanda_1978, by Archivo Clarin
Bundesarchiv Bild 183-N0716-0314, Fussball-WM, BRD â Niederlandse 2-1,
by Rainer Mittelstadt
Howitis, as appeared on http://www.shof.msrcsites.co.uk
Luis Suarez vs. Netherlands (cropped).jpg, by Jimmy Baikovicius
9. Variables Lateral Downward International
Independent variables Team status .9038*** .8481*** .3629***
Player importance -.0354* -.5907*** -.3556***
status * player importance -.2173*** -.2026*** -.2430***
Team level control variables Team performance .8239*** -1.6788*** .3631**
Perf rel. asp. Levels .6096** 2.0067*** -1.0320***
Stadium capacity -.0057*** -.0033** -.0089***
Player level control variables Career duration -.0123*** -.0104*** -.0071***
Previous clubs .1879*** .1924*** .1764***
Transfer value -.0047 -.1274*** -.0760***
Preferred foot .1039* .0638 .1515*
EU national .0325 .2462*** -1.2728***
Defender .4522*** .5277*** .6265***
Midfielder .6598*** .7255*** .8403***
Attacker .9596*** .8529*** 1.2094***
International .1366*** -.3401*** .0758
Model fit Transfers 4988 6192 2354
Log pseudolikelihood -55773.417 -67421.937 -25907.217
Hinweis der Redaktion
It is really great to be here in Yokohama. I heard very early on in my PhD that this yearâs ISA annual conference would be in Yokohama, and since then it is has been on my wish list to be here. So to see that wish come true is really a great experience for me.
My name is Thijs Velema and I am a PhD candidate in sociology at National Taiwan University, and this year I am doctoral fellow affiliated with the institute of sociology at Academia Sinica
I think if you look at my title, the three key words that stand out are organizational goals, professional interests, and labor mobility:
Actually, what I hope to do in my dissertation research is to look at how both organizations and individuals work together to shape labor mobility
Here, I am focusing on which individuals organizations facilitate to move to other firms, and which individuals a firm wants to retain
I think the context which I examine this is also apparent from the title and this slide; it is the context of professional football in Europe. This context is interesting for a number of reasons:
Letâs start with an example of labor mobility in professional football and its consequences for organizations. An example of this is Luis Suarez
Key striker for Uruguay and Liverpool, he moved to Liverpool in 2011 from Ajax for 26.5 million euro
He actually moved to Barcelona last week for somewhere between 80 and 100 million euro
Ajax lost a key player; which had a direct impact on their style of play and their performance
However, upshot is that many players are willing to move to Ajax: these players see Ajax as a stepping stone to the absolute top of football
For instance, this summer, Ajax attract Robert Muric,
Highly talented Croatian player, who was desired by several European top teams
He chose Ajax, because he realized that this would give him the opportunity to develop himself and use Ajax as a stepping stone towards the European top
So in one sense, Ajaxâ interests were damaged with this transfer, but Ajax also benefited from the transfer
So, we can theorize about this observation of the impact of employees moving to other organizations on the goals of an organization to gain status and reputation in the field:
Labor mobility affects organizational status and organizational reputation
Status
Status is a relational concept based on the acknowledgments of other market actors of an organizationâs quality
Hence, if others attract your employees, they basically acknowledge that you employ really good workers
What Liverpool acknowledged by buying Suarez is that Ajax actually has really good employees who they are willing to pay for
Status is important in the recruitment of new employees; it shows to these employees what career opportunities they might expect when working for you
Ajax could attract Robert Muric based on its status of a stepping stone to the top of the field
Reputation
Reputation is expectations about your performance based on past performances
Reputation is important, because key rewards are distributed based on reputation; TV revenues, merchandising, access to lucrative tournaments
When people move, you lose human and social capital to other firms
Suarez move represented the loss of a key player for Ajax
Hence, mobility might harm reputation
Hence, mobility affects both status and reputation in sometimes contradicting ways; improve status by mobility of employees, which might harm your reputation
Based on this, the question is how organizations use labor mobility to attain the two goals of organizational status and organizational reputation:
How the mobility of your employees affects your status and reputation implies that organizations in different status positions use mobility differently to attain their goals:
High status organization A wants to maintain its status through labor mobility, without harming its reputation
Status is maintained by circulating players to other organizations, either of same status level, or at lower status levels
Reputation is maintained by retaining key players for their performance
Hence, high status teams facilitate the mobility of fringe players in their squad, while they retain their key people
This is also in line with the desires of these players: fringe players might be willing to move to other clubs in order to get a new chance at first team football
Low status organization B wants to improve its status, in order to improve its reputation
They improve their status when high status teams attract their players
Such a status as a stepping stone increases the attractiveness for players, so that the teams are able to attract better players and improve their reputation
Hence, low status teams facilitate the mobility of key players in their squad, while they hold on to their fringe players
Key players in these teams are craving the opportunity to move up, and play football at a higher level
Based on this, Iâd expect to observe the following patterns in the transfers of football players:
Organizational status has a positive effect on transfers
Fringe players in high status teams move
But key players in low status teams move
To examine these ideas I ran a number of event history models on a dataset of the transfers of almost 12,000 players between July 2006 and June 2012 from teams in the highest two leagues of the top 7 European countries in professional football:
Data comes from transfermarkt.de, which is a really cool German-based online database on the careers of players
Main dependent variable, the events I examine, are the transfers of players to other professional teams, to teams in lower leagues, and to teams in other countries. More specifically, the time in months in a team before a player is transferred
Main independent variable:
Status of a team, based on its centrality in the transfer network in the previous season
Importance of players in their team based on the percentage of matches they played in that particular season
Control variables
Team level: performance, performance compared against historical levels, stadium capacity
Player level: career duration, previous clubs, transfer value, preferred foot, nationality, position
Do not report control variables here, but if youâre interested I have brought some copies of my paper and can send it to you after this conference
Main results are as follows:
Team status has a positive effect on player transfers: High status teams are thus more likely to let their players go to other clubs
Player importance has a negative effect on transfers: marginal players are more likely to move
Interaction term is negative: key players in high status teams are least likely to move, while key players in low status teams are more likely to move
So, to summarize what I am arguing here:
I asked myself the question of how teams decide which players they allow to move and which they try to retain. So, basically I ask the question âwho movesâ
Teams consider their status and reputation when thinking about labor mobility of their employees.
Mobility is positive for status, but negative for performance and reputation
Answer to this question can be formulated as follows:
Players in high status teams are more likely to move, because these moves reinforce the status position of high status teams, and might be desired by the players as a renewed chance for first team football
However to protect their performance and reputation teams are more willing to facilitate the movements of their marginal players
This is different for high and low status teams
High status teams move their marginal players for status gains, and retain their key players to ensure their performance and reputation
Low status teams are willing to let their key players move up in the market, when this allows them to improve their status position
I have some further questions for this framework:
What kind of labor market do the actions of organizations add up to?
Seems to be a big pyramid, with high status teams at the top.
These teams have first pick of players and allow their least capable players to leave, mostly to other teams at a lower level.
Hence, majority of players move downward; precarious careers
But a small minority moves upward; these are the key players in low status teams
Ask yourself two questions:
Is this the best way to identify and train talent?
What does such a labor market system mean for competitive balance in football?
What is the role of other actors?
Teams are the main decision makers in this study. I want to focus on organizations
However, I also mentioned that players have a say here,
Very often player agents are also involved.
The process is thus much more complicated than I depicted here, but it might be that player and team interests are often aligned
Finally, you can ask how these ideas compare to other industries
Are the actions of organizations, and the labor market, similar in academia, investment banking, consultancy, other sports etc? Or is football unique in this respect?
I would like to end my presentation by mentioning my website www.thijsvelema.com, where you can find this and other presentations, and references to all my work. Thank you for your attention